Privatizing Ecosystem Services: Water Quality Effects from a Carbon Market

Silvia Secchi, Manoj Jha, Lyubov Kurkalova, Hongli Feng, Philip Gassman and Catherine Kling

ISU General Staff Papers from Iowa State University, Department of Economics

Abstract: With the specter of a new farm bill on the horizon, considerable discussion is occurring concerning the possible redirection of conservation programming and financing. Notably, interest in the increased use of incentive systems and market-like instruments continues to expand. One source of this interest lies in the desire to shift some of the burden of providing ecosystem services, such as protecting stream and river channels from erosion, maintaining biodiversity, and providing clean water and air, to private sector pockets. For example, in the fall of 2006, USDA and EPA announced a joint partnership to support expanded water quality credit trading for nutrients in the Chesapeake Bay watershed, allowing farmers to receive compensation for water quality improvements. Carbon markets, such as the active program in the European Union, are also being discussed as a possible model for expanded market-like programs in agricultural conservation policy.

Date: 2007-01-01
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Related works:
Working Paper: Privatizing Ecosystem Services: Water Quality Effects from a Carbon Market (2010)
Working Paper: Privatizing Ecosystem Services: Water Quality Effects from a Carbon Market (2008)
Journal Article: Privatizing Ecosystem Services: Water Quality Effects from a Carbon Market (2007)
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